Hello everyone; We are new to Real Estate Investing and have read, viewed and listened to everything we can get our hands on. The one thing everyone agrees o n is that Investors need a credibility kit for sellers, buyers and lenders. What I have not been able to find with any substance ( :bs) is “What do I put in the _ _ _ _ thing if I have no experience?” :banghead Please advise… :help
Haha, a credibility kit couldn’t hurt, maybe I shud put together one. But truthfully, I’ve never needed one. Never been asked too many questions, except, have you been doing this awhile or is this your main business?
I reply, yes I have been doing this for awhile and this is all I do. They assume I know what I’m doing with that confident smile, and I never talk much, I ask questions and let the sellers tell their stories. After 30-45 minutes I push the contract towards them with the pen.
I believe I did lose a few deals at first when I was so frikin nervous and lacked any kind of confidence.
Now I sometimes realize when I’m leaving a sellers house and doing the contracts at the kitchen table that I wasn’t nervous at all.
I can now pick up the phone and chat with local millionaires investors and I don’t get too freaked out, it’s still intimidating though, someday…
It’s funny, sometimes I’ll get calls from newbies and I can tell they are nervous as hell.
You can put together a credibility kit, while your doing that, I’m out ther getting the deal.
Let’s make some money…
Whatever you do, don’t call it a “Credibility Kit.”
BTW, that’s not what they’re called, except by lame “gurus” who don’t know their head, from a hole in their head.
These are professionally referred to as “Credential Books.” Or perhaps a “Sales Portfolio,” or a “Presentation Portfolio.” And in no case are they referred to as either “credential” or “credibility” kits in front of clients. "Here, let me show you my “credibility kit.” Yeah, sure, Bud.
You don’t need them, except where you need to establish trust and ‘credibility’ in order to close on the transaction.
That said, they’re critical, whenever you’re asking the seller to finance, all, or part of your purchase.
This would be a situation, where the seller remains liable after a closing to your behavior and judgment. Like, getting his payments on time from you… or at all. OR you making HIS payments on time, or at all.
Anyway, in a situation where I’m asking the seller to give me his deed, and let me take over his payments, I’ve already presented my ‘credibility kit’ to the seller, and he knows how long I’ve been in business, read written testimonials about how wonderful it was to do business with me; who says I’m a great, honest, trustworthy, and did I mention a 'great" businessman; who I associate with professionally; the local civic clubs/groups I support/participate in; and examples of previous deals I’ve closed on, that happen to look exactly like what I’m offering the seller.
Of course, all my paperwork is enclosed, which enables me to present myself as an organized, professional…
Do I need this to get a conventional loan? The bank could care less if I’m a serial killer, if my credit report is clean. So, no.
Do I need it to negotiate a cash offer? No. Sellers only want to know how much they’re gonna get, and how quick they’re gonna get it.
Otherwise, I could be a bank-robbing, friendless, baby-stealer, just escaped from prison, for all the seller cares. Which brings me to mention just how much more necessary a “credential book” is for those who are actually escaped, lonely, bank-robbing, child-stealers, needing seller financing. Just saying.
So, basically anywhere I’m depending on the other person to trust me, to close on a deal, I pull out my “book” and show myself off as the “credible” person that I am.
The “book” becomes a natural tool for me to use in introducing myself to anyone I want to do business with, and/or share what I do, who I do it with, and who likes me to do it with them, etc.
Afterward, the other person is more familiar with me; is likely to be more open about themselves; and I’ve created an instant, trusting relationship. Yay for me.